Intel Corporation Presents at The Mizuho Technology Conference 2024, Jun-12-2024 09:55 AM - NasdaqGS:INTC

NasdaqGS:INTC

Safroadu Yeboah-Amankwah, the Senior Vice President and Chief Strategy Officer at Intel Corporation, presented at The Mizuho Technology Conference 2024. During his presentation, he covered several key points:

IDM 2.0 Strategy

• Two Companies in One: Intel views itself as two excellent companies in one, focusing on products and operations on one side and foundry services on the other.
• Product Leadership: Intel aims to regain its product leadership, which had waned over the years.
• Manufacturing Leadership: Intel acknowledges that its manufacturing leadership, particularly in process technology and capacity, had diminished and plans to address this.

Financial Discipline and Cultural Transformation

• Financial Leadership: There is a strong focus on financial discipline and leadership within the company.
• Cultural Transformation: Intel is undergoing a cultural transformation to reignite its focus on innovation and customer-centricity.

Strategic Entities Within Intel

• Intel Products Team: Focused on developing the most excellent product company at a scale of $55 billion in revenue.
• Intel Foundry Services: Serves both Intel Products and third-party customers, playing an attacker role in the foundry business with a focus on leading-edge node capacity and geographic resilience.
• Intel Corporate: Manages the company’s G&A functions and leverages critical capabilities such as Intel Labs and Intel Capital.

AI and Data Center Opportunities

• Investment in AI: Intel has been investing in AI for 15 years and sees significant opportunities in areas like model optimization, security, and infrastructure improvements.
• Data Center Innovations: Intel is investing in technologies beyond CPUs and accelerators, including memory, networking, and cooling solutions.

Competition and Partnerships

• x86 vs. ARM: Intel believes in the continued innovation and value of x86 architecture but acknowledges the role of ARM-based architectures in certain segments.
• Foundry Partnership with ARM: Intel is comfortable with its foundry partnership with ARM, viewing it as an opportunity to capture a broader range of applications.

Unlocking Value

• Portfolio Review: Intel has reviewed its portfolio and divested assets that would unlock greater shareholder value.
• Altera: Intel sees Altera as a valuable standalone entity and is considering options such as a stake sale or IPO.
• Smart Capital Strategy: Intel is leveraging alternative capital sources, including government grants and co-investment programs like SCIP, to fund its manufacturing expansions efficiently.

Product Roadmap

• Granite Rapids and Diamond Rapids: These products are designed with a renewed focus on product leadership and are expected to be competitive in the market.

Photonics and Materials Transition

• Photonics: Intel recognizes the importance of photonics in addressing bottlenecks related to networking and memory access.
• Materials Transition: Intel acknowledges the need for new materials and is exploring various approaches, including co-packaging and system-level innovations.

Software Focus

• Orchestration Layer: Intel is investing in software for better orchestration of hardware, with a focus on security and ease of deployment.
• Enterprise AI Ecosystem: Intel is working to create an ecosystem for easy and secure deployment of AI systems in enterprises.
• Client-Side Software: In partnership with Microsoft, Intel is driving software innovations to enhance the AIPC experience.

Safroadu Yeboah-Amankwah emphasized Intel's commitment to executing its strategies effectively and creating long-term shareholder value.